How to Adopt an Affordable Housing Advisory Committee (AHAC) Report

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Catalyst Program Presenters Michael Chaney, Florida Housing

1 How to Adopt an Affordable Housing Advisory Committee (AHAC) Report sponsored by Florida Housing Finance Corporation Catalyst Program Presenters Michael Chaney, Florida Housing Coalition Caleena Shirley, Florida Housing Coalition 1

Recommend Incentives for Affordable Housing Review the established policies and procedures, ordinances, land development regulations, and adopted local government comprehensive plan Recommend

2 Recommend Incentives for Affordable Housing Review the established policies and procedures, ordinances, land development regulations, and adopted local government comprehensive plan Recommend modification or repeal of existing policies, procedures, regulations; Recommend the creation of exceptions applicable to affordable housing; Recommend adoption of new policies or amendments to local comprehensive plan. Is an AHAC Report required from every SHIP Jurisdiction? AHAC Report is only due for cities and counties that receive allocations of more than $350,000 2

3 If your Jurisdiction must complete an AHAC Report, when is it Due? AHAC Report must be completed in the December before your LHAP must be updated. If Update LHAP due May 2017, then AHAC Report is due December 2016 OR When jurisdiction s SHIP allocation exceeds $350,000 for the first time Several Received More than $350,000 for the First Time Over 15 communities affected. Factors: Increased Population, Overall SHIP Allocation has Increased Is there a chance your 17/18 allocation might surpass $350,000 for the first time? 3

4 Affected Communities Rob Dearduff June 30 Deadline Receive 16/17 funding by submitting letter stating: AHAC Report not prepared, did not anticipate an allocation above the minimum Is AHAC active or must be established? You know the statutory changes about AHAC composition Is report process underway? What steps have been completed? Anticipated timeline for submission of the report Source: Rob Dearduff on May 5, 2016 POLL Has your 16/17 SHIP allocation increased to over $350,000 for the first time? Yes, our newest allocation is more than $350,000 No, but our AHAC Report is due soon No 4

Categories 1. Citizen engaged in the residential home building industry in connection with affordable housing 2.

5 Recruit AHAC Committee Members AHAC Changes to the SHIP Statute AHAC members no longer required to be appointed by resolution At least 8 members but not more than 11 members Must consist of 1 representative from at least 6 of the 11 categories AHAC Membership Categories 1. Citizen engaged in the residential home building industry in connection with affordable housing 2. Mortgage banking industry 3. Labor actively engaged in home building 4. Advocate for low income persons 5. For profit provider of affordable housing 5

AHAC Membership Categories 6. Not for profit provider of affordable housing 7. Real estate professional 8. Local planning agency member per 163.3174 9.

Representative of Essential Services Personnel AHAC Staff Support AHAC staff support from SHIP and Planners Cooperatively staffed by the local government

6 AHAC Membership Categories 6. Not for profit provider of affordable housing 7. Real estate professional 8. Local planning agency member per Citizen who resides within the jurisdiction 10. Representative of employers in jurisdiction 11. Representative of Essential Services Personnel AHAC Staff Support AHAC staff support from SHIP and Planners Cooperatively staffed by the local government department or division having authority to administer local planning or housing programs to ensure an integrated approach to the work of the advisory committee. Provide orientation to current incentive strategies and report requirements. 6

7 More Possible AHAC Responsibilities AHAC may assist staff in many ways Review new strategies Enhance existing strategies Community Outreach and Feedback Help create SHIP Procedures INTRODUCTION TO INCENTIVE STRATEGIES 7

8 Topics for Discussion: Items A K Each advisory committee shall submit a report to the local governing body that includes recommendations on affordable housing incentives in the following areas: (4) F.S. Adoption of Affordable Housing Incentive Strategies (a) The processing of approvals of development orders or permits, as defined in s (7) and (8), for affordable housing projects is expedited to a greater degree than other projects. (b) The modification of impact fee requirements, including reduction or waiver of fees and alternative methods of fee payment for affordable housing. (c) The allowance of flexibility in densities for affordable housing. (d) The reservation of infrastructure capacity for housing for very lowincome persons, low income persons, and moderate income persons. (e) The allowance of affordable accessory residential units in residential zoning districts. (f) The reduction of parking and setback requirements for affordable housing. (g) The allowance of flexible lot configurations, including zero lot line configurations for affordable housing. (h) The modification of street requirements for affordable housing. (i) The establishment of a process by which a local government considers, before adoption, policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing. (j) The preparation of a printed inventory of locally owned public lands suitable for affordable housing. (k) The support of development near transportation hubs and major employment centers and mixed use developments. 8

Two Mandatory Incentive Strategies Expedited Permitting Ongoing Review of policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing.

9 Two Mandatory Incentive Strategies Expedited Permitting Ongoing Review of policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing. Documented on SHIP Annual Report (a) Mandatory Expedited Permitting The processing of expedited permits or development orders to a greater degree than other projects for affordable housing. Purpose: Time is Money! 9

10 What Qualifies for Expedited Attention? Define: What is an affordable housing project? What process initiates expedited permitting? Color Cover Sheet approach Many TYPES of Expedited Review Variances, re-zoning, waivers, request for re-platting, review of the builder s plans. Various departments must be aware of the requirement. Timing of public hearings may be unavoidable Staff should propose an efficient permitting strategy that results in the least delay. 10

11 Florida Examples: Expedited Permitting Pasco County Affordable single and multi family development permit application packets are placed within a yellow band to indicate need for expediting review/approval through the process. Staff within the Growth Management Division shepherds application through each level of review. Sarasota County SHIP office provides developer with Priority Processing Notification form (i) Mandatory Ongoing Review The establishment of a process by which a local government considers, before adoption: policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing. Purpose: Requiring government to consider/perhaps weigh or balance the government action s impact on the ability of the private sector to develop affordable housing. (Akin to an economic impact statement). 11

12 (b) Impact Fee Modifications The modification of impact fee requirements, including reduction or waiver of fees and alternative methods of fee payment for affordable housing. Impact Fees: typically used for roads and transportation, parks and recreation, emergency medical services, fire safety, water and sewer connections and schools. Fee Deferment Impact Fee Options Fee Waiver When impact fees have been pledged as repayment source for local bonds, they cannot be waived. Future bond issues may have built in waiver for certain circumstances, such as affordable housing. Fee Modification: base on square foot rather than unit. Unit fee is regressive because greater impact on smaller/more affordable unit. Alternative sources of payment for impact fees 12

13 (c) Density Flexibility The allowance of flexibility in densities for affordable housing. Increased density offers an economic incentive. Selling/renting a larger number of units offsets the lower sales price/rent level charge for each affordable unit. Typically, only an affordable housing developer will voluntarily produce AH in exchange for density bonus. Key Considerations about Density Consider the length of time that units must maintain affordability. Density Unit Options: provided on or off site, transferred, or built as accessory dwellings. Bonuses work best in housing markets where developers cannot get as much land as they need. May be more applicable to multi family rental, rather than to single family subdivisions. 13

Mandatory Density Usually associated with Inclusionary Housing Inclusionary Housing Provide affordable units in conjunction with the development of market rate units, increasing production in

14 Mandatory Density Usually associated with Inclusionary Housing Inclusionary Housing Provide affordable units in conjunction with the development of market rate units, increasing production in specific geographic areas that might otherwise not include affordable housing. Inclusionary Zoning Example: City of Jupiter content/uploads/2014/09/maier AND Thoburn FHC 015_Annual_Conference_Presentation.pdf 14

15 (d) Reservation of Infrastructure The reservation of infrastructure capacity for housing for very low income persons, low income persons, and moderate income persons. Some parts of Florida do not have enough water, sewer capacity, or transportation concurrency for all potential development. A developer may build a house and yet be unable to get water and sewer hook ups. (e) Accessory Dwelling Units The allowance of affordable accessory residential units in residential zoning districts. ADU = a residential unit that is secondary to the primary residence of the homeowner. Can be an apartment within the primary residence OR an attached or freestanding home on the same lot as the primary residence. Typically an infill unit built where there is existing infrastructure ADUs create affordable housing in TWO ways 15

16 TIMELINE and RESPONSIBILITES QUESTION: Do you need Follow Up Assistance? Type in the Questions Box. REQUEST TA: Include your City/County and address for Follow Up. 16

17 AHAC To Do Assemble AHAC members Consider affordable housing incentives in 11 areas outlined in FL Statutes Present report to City/County Commission HANDOUT contains Statute/Rule reference, LHAP due dates and AHAC Timeline AHAC Report Time Line Designate staff and select AHAC members Complete draft report schedule and advertise public hearing Submit report to local government governing board Submit LHAP and AHAC Report Feb. June 2016 June 30, 2016 Oct. Nov Dec. 31, 2016 March 31, 2017 May 2, 2017 Feb Governing Board Appoints members to AHAC by resolution Public hearing AHAC approves local housing incentive strategies Local government adopts LHAP amendments to incorporate strategies Repeat process in preparation for triennial report Dates in black are reccomended timeline to meet deadlines Dates in red are statute or rule deadlines. 17

18 POLL What is the status of your AHAC Report? Our AHAC Report & LHAP are not due in 2016 & 2017 AHAC committee and report not initiated AHAC members assembled Some AHAC meetings completed Report complete or to be voted on within a month AHAC has public meetings, plus a public hearing to vote on report Approval of recommendations by affirmative vote of a majority of the members at a public hearing. Notice of public hearing time, date, and location must be published in a newspaper of general paid circulation Notice must contain a summary of the recommendations and state where a copy may be obtained 18

19 Related Training Examples of AHAC Reports View End of Recording: Possible AHAC Outcomes Recommend adding new incentive strategies Recommend changing existing incentive strategies No recommendations for anything new Commission accepts recommendations Commission takes no action 19

Procedures for amending the LHAP Initially submit documents electronically in their current file format (word, excel) Email robert.dearduff@floridahousing.

20 Procedures for amending the LHAP Initially submit documents electronically in their current file format (word, excel) Subject Line: LHAP Amendment and the local government name Send main LHAP document and any exhibits affected In , state this is a plan amendment Guidance on remaining Incentive Strategies outlined in SHIP Statute 20

21 (f) Parking and Setbacks The reduction of parking and setback requirements for affordable housing. Some housing may benefit from a reduction in the required number of parking spaces required by the land use code. EXAMPLE: housing for elderly residents or people with disabilities Regular zoning often comes with standard street requirements (g) Flexible Lot Configurations The allowance of flexible lot configurations, including zero lot line configurations for affordable housing. Zero lot line = two neighboring houses back to back, with a common wall between 15 ft side set back requirements common, Allow smaller setbacks to offer more freedom arranging home on lot. 21

(h) Street Requirements The modification of street requirements for affordable housing Example: An allowance for parking on only one side of the street.

22 (h) Street Requirements The modification of street requirements for affordable housing Example: An allowance for parking on only one side of the street. Reduces the required width for the road, reduces paved area and accompanying drainage/water retention This design allows for parking on the street instead of garage/carport This approach may require a public hearing. Allow administrative approval of flexible options Typically not helpful you don t want to create substandard subdivisions. 22

23 (i) Mandatory Ongoing Review Previously discussed (j) Land Bank Inventory The preparation of a printed inventory of locally owned public lands suitable for affordable housing. Purpose: Reducing or eliminating the cost of land decreases the cost of developing affordable housing. Statutory Requirement since July 2007: Create a Surplus Land Inventory for affordable housing 23

24 Surplus Land Florida State Statues & passed in 2007, commonly known as the surplus lands bill These statutes mandated that by July 2007, and every 3 years thereafter, each county and municipality shall prepare an inventory list of real property within its jurisdiction to which the county or municipality holds fee simple title that is appropriate for use as affordable housing. (k) Proximity The support of development near transportation hubs and major employment centers and mixed use developments. Purpose: Properly locating affordable housing makes these units all the more affordable by decreasing gas/transportation costs. Related to Density Bonus and Inclusionary Zoning 24

QUESTIONS AND EVALUATION https://www.surveymonkey.

25 QUESTIONS AND EVALUATION Technical Assistance is Available Available Daily: 1 (800) Options for Further Assistance Include: Phone and consultation Site Visits Register at for: Workshops Webinars Lunch and Learn trainings 25

SHIP Affordable Housing Advisory Committee

SHIP Affordable Housing Advisory Committee October 28, 2015 Webinar sponsored by Florida Housing Finance Corporation Catalyst Program Presenters Michael Chaney, Florida Housing Coalition Caleena Shirley,